12 Oil and Gas Companies in India Driving the Energy Sector

India’s energy needs are growing fast every year. To keep up, the oil and gas companies in India play a very important role. They not only supply fuel but also help in building the economy and creating jobs. This blog talks about 12 important oil and gas companies in India that are leading the country’s energy growth. We will also focus on Essar, a major player in the industry.

Why Oil and Gas Companies Matter in India

India’s economy depends a lot on oil and gas. These fuels power transportation, industries and households. Although India is working on renewable energy, oil and gas remain the main source of energy. According to the Ministry of Petroleum and Natural Gas (2024):

• India’s crude oil consumption is about 5 million barrels per day.

• Natural gas consumption is around 60 million metric standard cubic meters per day (MMSCMD).

• India imports nearly 85% of its crude oil needs.

This shows how vital these companies are to ensure a steady fuel supply and reduce import dependence.

India’s Energy Consumption Snapshot (2024)

The 12 Oil and Gas Companies Driving India’s Energy Sector

1. Indian Oil Corporation Limited (IOCL)

IOCL is the biggest oil and gas company in India. It handles refining pipelines and fuel sales nationwide. With a refining capacity of over 80 million tonnes per year, IOCL supplies fuel to millions of customers daily. It’s also investing heavily in green energy projects.

2. Essar Group

Essar has been responsible to build some of India’s finest assets and businesses in the energy sector. Essar is one of the major oil and gas companies in India. It built the Vadinar refinery in Gujarat, one of India’s largest and most advanced facilities, with a processing capacity of around 20 million tonnes per year. In 2017, Essar Oil was acquired by a consortium led by Rosneft in a $12.9 billion deal, bringing in massive FDI and showcasing the value Essar created for the nation. The acquisition included the refinery, a port, a power plant, and a retail network of over 3,500 fuel stations. Following the sale, the company was rebranded as Nayara Energy.

The group’s other investment, Essar Oil & Gas Exploration and Production Limited (EOGEPL), is one of the largest exploration & production (E&P) companies in India primarily focussed on Unconventional Hydrocarbons (UHC), with a resource base of 12 TCF of UHC that is strategically located in key sedimentary basins across India. The company is a pioneer of UHC in the country, with about 25 years of experience in E&P of Coal Bed Methane (CBM). EOGEPL’s flagship Raniganj East CBM asset is not only India’s largest producing CBM asset but also has a prolific shale gas potential.

Essar’s global record too is exemplary. Essar Oil UK (now known as Essar Energy Transition [EET] Fuels) owns the Stanlow refinery in the UK. It's located on the River Mersey, near Liverpool. The refinery produces a significant portion of the UK's road transport fuels, about 16%.

3. Oil and Natural Gas Corporation (ONGC)

ONGC is India’s top producer of crude oil and natural gas. It accounts for nearly 70% of India’s domestic crude oil and 84% of natural gas production. ONGC operates in offshore and onshore fields and is crucial to India’s energy security.

4. Bharat Petroleum Corporation Limited (BPCL)

BPCL is a government-owned company involved in refining and marketing. It has a refining capacity of about 40 million tonnes per year and runs thousands of fuel stations. BPCL is also working on expanding its LNG business.

5. Reliance Industries Limited (RIL)

RIL is one of the largest private oil and gas companies in India. Its refinery in Jamnagar is the world’s largest with a capacity of 68 million tonnes per year. Reliance is also expanding in natural gas and petrochemicals.

6. Hindustan Petroleum Corporation Limited (HPCL)

HPCL owns two major refineries with a combined capacity of over 15 million tonnes per year. It operates a wide network of fuel stations and is growing its LPG and gas pipeline business.

7. GAIL (India) Limited

GAIL is the biggest gas company in India, handling natural gas transmission and distribution. It owns over 11000 km of pipelines and supplies gas to power plants, industries and cities.

8. Cairn India (Vedanta Limited)

Cairn India is a leading oil exploration and production company, contributing about 20% of India’s domestic oil output, mainly from Rajasthan.

9. Oil India Limited (OIL)

OIL operates in northeastern India and produces crude oil and natural gas. It has a production capacity of around 3 million tonnes per year.

10. Adani Gas Limited

Adani Gas is rapidly expanding its city gas distribution network and has plans to serve millions of households with piped natural gas (PNG). It is a rising star among gas companies in India.

11. Shell India

Shell operates in India in refining, lubricants and the growing natural gas segments. It’s also investing in renewable energy solutions to reduce carbon emissions.

12. Petronet LNG

Petronet LNG imports and distributes liquefied natural gas (LNG) in India. It owns important LNG terminals and supplies gas to industries and cities, helping India diversify its energy mix.

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Refining Capacities of Top Oil Companies (Million Tonnes Per Annum)

How Essar Stands Out Among Oil and Gas Companies in India

Essar has played a key role in shaping India’s oil and gas sector. It built the Vadinar refinery, one of India’s largest and most advanced refineries, now operated by Nayara Energy. Through Essar Oil & Gas Exploration and Production Ltd. (EOGEPL), the company is a leader in Unconventional Hydrocarbons, especially Coal Bed Methane (CBM). Its Raniganj East block is the largest CBM-producing asset in India and also holds strong shale gas potential. Internationally, Essar owns the Stanlow refinery in the UK (now EET Fuels), which supplies about 16% of the UK’s road transport fuel, highlighting its global presence and impact.

With growing awareness about pollution, Essar’s commitment to sustainability sets a benchmark for other oil and gas companies in India. They have also started adopting digital tools for better efficiency and safety.

Future Outlook for Oil and Gas Companies in India

The Indian government is pushing for more use of natural gas and cleaner fuels. The target is to increase gas consumption from 6% of total energy to 15% by 2030. This means gas companies in India like GAIL, Petronet LNG, Adani Gas and Essar will have bigger roles.

At the same time, companies are investing in renewable energy projects such as biofuels, solar energy and hydrogen to balance fossil fuel use.

Conclusion

The top oil and gas companies in India form the backbone of India’s energy sector. From exploration and refining to distribution, these 12 companies are powering India’s growth and helping the country meet its energy demands. Companies like Indian Oil, ONGC, Reliance and Essar are leaders making continuous progress.

With the country moving toward cleaner energy, the role of top oil and gas companies in India will evolve, blending traditional fuels with renewable energy. Essar’s focus on sustainability and growth in natural gas distribution makes it a company to watch closely.

India’s energy future depends heavily on the strength and innovation of these companies. Keeping track of their progress gives us a good idea of how India will fuel its dreams in the years ahead.